Rover bosses hit back at claims

08 July 2009 06:10
Bosses in charge of MG Rover at the time of its collapse have issued a dossier which claims to show what led to the firm's collapse. It follows a government announcement that the Serious Fraud Office is looking at the company's demise. The Birmingham-based firm collapsed in 2005 leading to a loss of 6,000 jobs. The government said the inquiry was a necessary step. The dossier claims the government is trying to hide the role of political figures in the matter. It was prepared by Jack Irvine and Ramsay Smith of Media House International on behalf of the so-called Phoenix Four who were in charge of MG Rover at the time of the firm's collapse. 'Loan blocked' It claims that those close to MG Rover are "firmly of the view" that then chancellor Gordon Brown blocked state aid to the company. It also says that since the firm's demise, there has been a "concerted campaign to lay the blame at door of the directors of Phoenix Venture Holdings". It also said the managers, John Towers, Nick Stephenson, Peter Beale and John Edwards, took £8.5m in salary and bonuses and a further £730,000 per director per year in pension contributions - not the £40m which has been reported. A spokeswoman for the Department of Business, Enterprise and Regulatory Reform said it would not be appropriate to comment while the Serious Fraud Office was investigating.

Source: BBC_Sport